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The 7-inch version of the new Kindle Fire HD

There's no question that Amazon today substantially improved its position in the e-reader and tablet market.

At a launch event in Santa Monica this morning - read my live blog for the details - the company laid out a line of 7 products, with price points ranging from $69 to $499:

The original entry level Kindle, previously $79, is now $69.

The new Kindle Paperwhite comes in a $119 version - WiFi only - and a $179 version, with 3G.

The old Kindle Fire is now $159, down from $199. (It actually comes with some component improvements.)

The new Kindle Fire HD comes in three versions: $199 for a 7-inch WiFi version; $299 for an 8.9-inch WiFi version; and $499 for the larger version with 4G LTE capability. (Service will set you back another $49.99 a year, with connectivity provided by AT&T.)

In essence we now have the first half of the latest chapter in the tablet wars, in which Amazon takes dead aim at the
Apple iPad and
Google Nexus 7. Still ahead later this fall (if you believe the rumor mill) is the iPad Mini, which is expected to move into the 7-inch tablet market where the Fire and Nexus 7 now rule.

Topeka Capital analyst Brian White writes in a research note this afternoon that the updated Fire portfolio is "clearly an improvement" form the original 7-inch version. But he adds that "nothing really grabbed our attention ... this announcement will do little to halt the momentum of Apple's iPad franchise that continues to gain momentum around the world."

White asserts that the 4G version is "a bit pricey and will have a difficult time gaining traction," and contends that the November 20 launch date for the device is "much too far into the future."

While he concedes that "there were some interesting new features and upgrades from the original version that could provide increased competition for non-Apple tablets," he adds that he "walked away from this announcement with even greater confidence that the iPad will continue to dominate the tablet market at the mid-to-high end," and that the iPad Mini "has a big opportunity to gain share at the value-oriented end of the market."

For Apple bulls - and there is no bigger bull than White, with his $1,111 target price on the stock - he sees nothing in today's Amazon news to worry about.

"Apple still rules the tablet world and we believe the soon to be launched iPad Mini at a $250-$300 price point (possibly a bit lower) will expand the company's addressable market opportunity significantly with a 7.85-inch tablet and potentially eventually surpassing sales of the regular-sized iPad," he writes. White thinks a smaller iPad can expand the company's reach in developing countries, "while also catering to more price sensitive consumers in developed parts of the world."

In Thursday's trading:

Amazon rose $5.16, or 2.1%, to $251.38. I'd note that the stock had basically notched that gain before the announcements; the stock was little changed on the actual news.

Apple gained $6.04 or 0.9%, to $676.27.

Google shares jumped $18.68, or 2.7%, to $699.40, a new all-time high.